BULLIVANT'S NATURAL: Moyes and Ho Step Down as LiquidatorsCARILLION INVESTMENTS: Lam and Boswell Step Down as LiquidatorsE. TUNG FINANCE: Ng and Chan Step Down as LiquidatorsFITIGOOD COMPANY: Ng and Chan Step Down as LiquidatorsFINOVERDE LIMITED: Lam and Boswell Step Down as Liquidators

GALLAS PUBLISHING: Creditors' Proofs of Debt Due June 10HARMON INTERNATIONAL: Creditors' Proofs of Debt Due June 20HASTEN GROWTH: Lam and Boswell Step Down as LiquidatorsIMAGI EMERALD: Commences Wind-Up ProceedingsKAI WAH: Ng and Chan Step Down as Liquidators

KAM LEE: Ng and Chan Step Down as LiquidatorsLYKIMYUEN PROPERTIES: Ng and Chan Step Down as LiquidatorsNEW GIANT: Creditors' Proofs of Debt Due June 30PARAMOUNT HK: Creditors' Proofs of Debt Due June 27WING HO: Ng and Chan Step Down as Liquidators

CLOUGH INVESTMENT: Creditors' Proofs of Debt Due June 27EAST ASIATIC: Creditors' Proofs of Debt Due June 27KDMS MANAGEMENT: Creditors' Proofs of Debt Due June 10STAMFLES REMOTE: Creditors' Proofs of Debt Due June 10TELEPOINT DISTRIBUTION: Creditors' Proofs of Debt Due June 10

V I E T N A M

* VIETNAM: Some Securities Firms on the Brink of Insolvency

X X X X X X X X

* BOND PRICING: For the Week May 23 to May 27, 2011

- - - - -

=================A U S T R A L I A=================

FARMER CHARLIE: Goes Into Administration, Up to 50 Jobs at Risk---------------------------------------------------------------The Northern Star reports that Farmer Charlie's manager, DarylSmith, has suspended trading across all three stores following thefall of the company into administration. The report relates thatMr. Smith said that up to 50 staff would be out of work.

Workers at Lismore, Ballina and Casino were told they would losetheir jobs unless someone stepped in to buy the company, accordingto The Northern Star.

Mark Roufeil, an administrator from PPB Advisory, said the Ballinaand Evans Head and the Lismore stores would cease trading, TheNorthern Star discloses. The report relates that Mr. Roufeil saidhe had been working around the clock to find a new owner and washaving some success.

"I have four parties who are genuinely interested in trying toacquire the stores," The Northern Star says, quoting Mr. Roufeilas saying. The report relates that Mr. Roufeil admitted thestores were in a "terrible financial situation" although he wouldnot reveal a debt figure.

Ashley Thomson, who has managed the butchery section at theLismore store for only two months, said staff had not received anyof their holiday pay entitlements and may not do so for months,The Northern Star notes.

The development comes after the business was placed intoadministration in November last year, and an exhaustive nationaland international search was unable to produce any prospectivebuyers, according to Perthnow.

"Despite our best efforts, we have been unable to negotiate asuccessful sale of the business with a prospective buyer, andgiven the ongoing financial losses incurred, there is noalternative but to immediately scale back operations beforeclosing the business," Perthnow says, quoting Dermott Mr. McVeighfrom Deloitte, the receivers of the business, as saying.

Perthnow notes that Deloitte said it was working closely with theState Minister for Agriculture and Food, Terry Redman, and otherstate and local government offices to minimize the impact of theplant closure on employees and other stakeholders.

Mr. McVeigh confirmed that the operations at the Bunbury facilityrun by Goldfin Enterprises will be scaled down before full closurein approximately two weeks time, and the abattoir operation run byGoldlevel Enterprises at nearby Dardanup will remain in operationfor six to ten weeks, albeit on a scaled down basis, to close outprocessing of remaining poultry livestock in Finesse Foods'process, Perthnow discloses.

REDGROUP RETAIL: Administrators Urgently Seek Buyers for Borders----------------------------------------------------------------The administrators of REDgroup Retail, owner of the Angus &Robertson and Borders bookstore chains, announced Monday that 34employees at REDgroup's head office will be made redundant. Thisfollows the closure of 55 Angus & Robertson and Borders storesover the past four months.

The Administrator, John Melluish of Ferrier Hodgson, said theredundancies came in advance of decisions about the future of theREDgroup bookstore businesses.

Mr. Melluish said he was now urgently seeking offers frompotential buyers of all or part of the Angus & Robertson orBorders networks. He said he would consider offers for individualstores.

The administrator also said that unless he is able to conduct anurgent sale of the business he may be forced to close theremaining 59 Angus & Robertson and nine Borders bookstores.Following this round of redundancies, REDgroup staff numbers total883.

"If we are unable to find a suitable buyer, the Angus & Robertsonand Borders stores will be closed," Mr. Melluish said, the reportquotes.

The administrators have guaranteed all employee entitlementsaccrued from the date of the appointment of administrators.Payment of entitlements accrued prior to the administration isdependent on final stock realization, which will be known withinthe next few weeks.

The REDgroup businesses in New Zealand have been progressivelysold down over the four month Administration:

On May 26, 2011, the REDgroup New Zealand business was sold to theprivately owned New Zealand retail business, James Pascoe Group.The sale included 57 Whitcoulls stores and five Borders stores.The sale price remains confidential.

On April 29, 2011, The REDgroup New Zealand business sold theBennetts chain of eight university-based bookstores to aNew Zealand private investor, Geoff Spong. The sale price remainsconfidential.

On April 6, 2011, the REDgroup New Zealand business sold aportfolio of 10 Whitcoulls bookstores located in New Zealand'sairports to Australia-based travel retail specialist LS TravelRetail Pacific, formerly known as Lagardere Services Asia Pacific.The sale price remains confidential.

In total, these sales preserved more than 1,050 New Zealand jobs.

About REDgroup Retail

REDgroup Retail Pty, with 260 stores and brands including Angus &Robertson and Whitcoulls, is the largest book retailer inAustralia and New Zealand. It acquired Borders stores inAustralia, New Zealand, and Singapore in 2008.

* * *

REDgroup Retail Pty Ltd. on Feb. 17, 2011, named Steve Sherman,John Melluish and John Lindholm of Ferrier Hodgson as voluntaryadministrators. The board appointed Steve Sherman, John Melluishand Ryan Eagle as voluntary administrators of the group'sNew Zealand business on the same day. According to BloombergNews, the appointment comes less than a day after Borders GroupInc. filed for bankruptcy in the U.S. and began taking bids for200 stores.

BABY FOX: Incurs US$2.01 Million Net Loss in March 31 Quarter-------------------------------------------------------------Baby Fox International, Inc., filed with the U.S. Securities andExchange Commission its Quarterly report on Form 10-Q, reporting anet loss of US$2.01 million on US$6.42 million of total sales forthe three months ended March 31, 2011, compared with net income ofUS$816,002 on US$7.08 million of total sales for the same periodduring the prior year.

The Company also reported a net loss of US$900,469 on US$18.44million of total sales for the nine months ended March 31, 2011,compared with a net loss of US$92,745 on US$19.95 million of totalsales for the same period a year ago.

The Company's balance sheet at March 31, 2011, showed US$12.94million in total assets, US$21.04 million in total liabilities anda US$8.10 million total stockholders' deficit.

Shanghai Minhang District, P.R.C.-based Baby Fox International,Inc., is a Nevada corporation organized on Aug. 13, 2007, byHitoshi Yoshida, a Japanese citizen, as a listing vehicle toacquire Shanghai Baby Fox Fashion Co., Ltd. The Company is agrowing specialty retailer, developer, and designer offashionable, value-priced women's apparel and accessories. TheCompany's products are aimed to target women aged 18 to 40 inChina. The Baby Fox brand was initially registered in Italy inMay of 2003 and it is promoted as an international brand in China.

The Company reported a net loss of US$435,531 on US$25.2 millionof revenue for fiscal year ended June 30, 2010, compared to a netloss of US$4.5 million on US$24.3 million of revenue for fiscal2009.

Following the fiscal 2010 results, Friedman LLP, in Marlton, N.J.,expressed substantial doubt about the Company's ability as a goingconcern. The independent auditors noted of the Company's losses,negative cash flows from operations and working capitaldeficiency.

CHINA CENTURY: Gets Additional Notice of NYSE Amex Non-Compliance-----------------------------------------------------------------China Century Dragon Media, Inc. received an additional notice ofnon-compliance from the NYSE Amex LLC due to the Company's failureto maintain a board of directors consisting of a majority ofindependent directors and an audit committee consisting of atleast three independent directors in accordance with Sections802(a) and 803B(2) of the Exchange's Company Guide. The Companyplans to address its plan for adding an additional independentdirector to its board of directors and audit committee at itsscheduled hearing before a Listing Qualifications Panel of theExchange's Committee on Securities. The Company also receivednotifications on April 5, 2011 and May 17, 2011 from the Exchangeof the Company's failure to satisfy one or more of the Exchange'scontinued listing standards related to the Company's failure totimely file its Annual Report on Form 10-K for the year endedDecember 31, 2011 and its Quarterly Report on Form 10-Q for thethree months ended March 31, 2011 with the Securities and ExchangeCommission.

As previously reported, on March 23, 2011, the Company received adelisting notification from the Exchange due to the Company'snoncompliance with Sections 1003(f)(iii), 132(e), 1003(d), 1002(e)and 127 of the Company Guide. The Company has appealed theStaff's delisting determination, which was based on the Exchange'sreview of the resignation letter from the Company's formerauditor, MaloneBailey LLP, and the delay in the filing of theCompany's Annual Report on Form 10-K for the fiscal year endedDecember 31, 2010. The Company timely requested a hearing beforethe Panel. The Company also received notifications from theExchange. The most recent notice of non-compliance has noimmediate effect on the listing of the Company's common stock onthe Exchange.

About China Century Dragon

China Century Dragon Media is a television advertising company inChina that primarily offers blocks of advertising time on certainchannels on China Central Television, the state televisionbroadcaster of China and China's largest television network. TheCompany purchases, repackages and sells advertising time oncertain of the nationally broadcast television channels of CCTV.The Company assists its customers in identifying the mostappropriate advertising time slots for their televisioncommercials based on the customer's advertising goals and indeveloping a cost-effective advertising program to maximize theirreturn on their advertising investment.

EASTBRIDGE INVESTMENT: Posts US$328,300 Net Loss in Q1 2011-----------------------------------------------------------EastBridge Investment Group Corporation filed its quarterly reporton Form 10-Q, filed with the U.S. Securities and ExchangeCommission, reporting a net loss of US$328,281 for the threemonths ended March 31, 2011, compared with a net loss ofUS$989,475 for the same period last year.

The Company did not have any recordable revenue in the threemonths ending March 31, 2011 or 2010.

The Company's balance sheet at March 31, 2011, showed US$1.8million in total assets, US$1.7 million in total liabilities, andstockholders' equity of US$122,119.

As reported in the TCR on April 26, 2011, Tarvaran Askelson &Company, LLP, in Laguna Niguel, California, expressed substantialdoubt about EastBridge Investment Group's ability to continue as agoing concern, following the Company's 2010 results. Theindependent auditors noted that the Company has incurredsignificant losses.

Scottsdale, Arizona-based EastBridge Investment Group Corporationprovides investment related services in Asia, with a strong focuson the high GDP growth countries, such as China and India.EastBridge is initially concentrating its efforts in China (HongKong, mainland China, Macao and Taiwan). The Company providesconsulting services to provide viable corporate infrastructurenecessary for small to medium-size companies to obtain capital togrow their business.

MATCHES, INC: Reports US$813,100 Net Income in First Quarter------------------------------------------------------------Matches, Inc., filed its quarterly report on Form 10-Q, filed withthe U.S. Securities and Exchange Commission, reporting net incomeof US$813,118 on US$18.8 million of sales for the three monthsended March 31, 2011, compared with net income of US$675,154 onUS$10.9 million of sales for the same period last year.

The Company's balance sheet at March 31, 2011, showedUS$62.0 million in total assets, US$46.1 million in totalliabilities, and stockholders' equity of US$15.9 million.

As of March 31, 2011, and Dec. 31, 2010, the Company had negativeworking capital of US$6.3 million and US$6.1 million.

As reported in the TCR on April 11, 2011, Bernstein & Pinchuk,LLP, in New York, expressed substantial doubt about Matches,Inc.'s ability to continue as a going concern, following theCompany's 2010 results. The independent auditors noted that theCompany has negative working capital as of Dec. 31, 2010, and2009.

Based in Taicang City, Jiangsu Province, China, Matches, Inc.(MTXS.OB) was incorporated pursuant to the laws of the State ofWyoming on Nov. 28, 2007. The Company is a chemical fibermanufacturer of polyester fibers with operations based in Suzhou,Jiangsu Province. The Company commenced operations in 2001. Theproducts the Company manufactures are of two major chemical fibercategories, Pre-Oriented Yarn ("POY") and Draw Texturing Yarn("DTY"). These products are widely used to produce a variety oftextile products for both home use and industrial use.

================H O N G K O N G================

BULLIVANT'S NATURAL: Moyes and Ho Step Down as Liquidators----------------------------------------------------------Paul David Stuart Moyes and Ho Siu Pik stepped down as liquidatorsof Bullivant's Natural Health Products (HK) Limited on May 27,2011.

CARILLION INVESTMENTS: Lam and Boswell Step Down as Liquidators---------------------------------------------------------------Rainier Hok Chung Lam and Anthony David Kenneth Boswell steppeddown as liquidators of Carillion Investments Limited on May 23,2011.

E. TUNG FINANCE: Ng and Chan Step Down as Liquidators-----------------------------------------------------Ng Kwok Tung and Chan Wai Kee stepped down as liquidators of E.Tung Finance Limited on May 11, 2011.

FITIGOOD COMPANY: Ng and Chan Step Down as Liquidators------------------------------------------------------Ng Kwok Tung and Chan Wai Kee stepped down as liquidators ofFitigood Company Limited on May 11, 2011.

FINOVERDE LIMITED: Lam and Boswell Step Down as Liquidators-----------------------------------------------------------Rainier Hok Chung Lam and Anthony David Kenneth Boswell steppeddown as liquidators of Finoverde Limited on May 23, 2011.

GALLAS PUBLISHING: Creditors' Proofs of Debt Due June 10--------------------------------------------------------Creditors of Gallas Publishing Group Limited, which is in members'voluntary liquidation, are required to file their proofs of debtby June 10, 2011, to be included in the company's dividenddistribution.

HARMON INTERNATIONAL: Creditors' Proofs of Debt Due June 20-----------------------------------------------------------Creditors of Harmon International Limited, which is in members'voluntary liquidation, are required to file their proofs of debtby June 20, 2011, to be included in the company's dividenddistribution.

HASTEN GROWTH: Lam and Boswell Step Down as Liquidators-------------------------------------------------------Rainier Hok Chung Lam and Anthony David Kenneth Boswell steppeddown as liquidators of Hasten Growth Limited on May 23, 2011.

KAI WAH: Ng and Chan Step Down as Liquidators---------------------------------------------Ng Kwok Tung and Chan Wai Kee stepped down as liquidators of KaiWah Realty Limited on May 11, 2011.

KAM LEE: Ng and Chan Step Down as Liquidators---------------------------------------------Ng Kwok Tung and Chan Wai Kee stepped down as liquidators of KamLee Wah Realty Limited on May 11, 2011.

LYKIMYUEN PROPERTIES: Ng and Chan Step Down as Liquidators----------------------------------------------------------Ng Kwok Tung and Chan Wai Kee stepped down as liquidators ofLykimyuen Properties Limited on May 11, 2011.

NEW GIANT: Creditors' Proofs of Debt Due June 30------------------------------------------------Creditors of New Giant Enterprise Limited, which is in members'voluntary liquidation, are required to file their proofs of debtby June 30, 2011, to be included in the company's dividenddistribution.

PARAMOUNT HK: Creditors' Proofs of Debt Due June 27---------------------------------------------------Creditors of Paramount Hong Kong Limited, which is in members'voluntary liquidation, are required to file their proofs of debtby June 27, 2011, to be included in the company's dividenddistribution.

WING HO: Ng and Chan Step Down as Liquidators---------------------------------------------Ng Kwok Tung and Chan Wai Kee stepped down as liquidators of WingHo King Realty Limited on May 11, 2011.

=========I N D I A=========

ADHUNIK CORP: Fitch Affirms National LT Rating at 'BB(ind)'-----------------------------------------------------------Fitch Ratings has affirmed India-based Adhunik CorporationLimited's National Long-Term rating at 'BB(ind)' with a StableOutlook. Its 'F4(ind)' National Short-term rating has beenwithdrawn as Fitch no longer provides such ratings to issuers. Theagency has also affirmed these ratings on ACL's bank loans:

The affirmation reflects ACL's steady financial performance in thenine months of the financial year ended March 31, 2011 (9MFY11),with its EBITDA margins improving to 12.1% from 11.09% in FY10.Its financial leverage (net debt/EBITDA) also improved to 2.43x in9MFY11 from 3.18x in FY10.

The ratings are constrained by ACL's large INR8,650 million capexplan to set up an integrated steel plant at Purulia, West Bengal.It is expected to be funded by debt of INR5,620m. The capex hasbeen delayed due to land acquisition issues. During FY11, thecompany repaid the small amount of sanctioned project loan that ithad drawn.

A positive rating guideline would be ACL's cancellation of thecapex plan. While a drop in its interest coverage to below 2.5x ona sustained basis would be a negative rating factor.

ACL operates a 60,000 MTPA sponge iron facility and a 78,000 MTPAalloy steel billet facility with four induction furnaces in WestBengal. In FY10, it reported revenues of INR3,405.3 million(FY09: INR3,303.2 million). The company's total debt at end-FY10was INR1,320.1 million (FY09: INR986.1 million), which comprisedterm loan of INR431.8 million, working capital debt of INR676.2million and unsecured loans of INR212.1 million from othercompanies. ACL reported negative net free cash flow of INR349.6million in FY10 (FY09: negative INR257.6 million), mainly due toan increase in its working capital requirements and high capex.Fitch expects the net free cash flow to remain negative over theshort-to-medium term due to the expected capex.

The ratings reflect ASL's small scale of operations and weakfinancial risk profile marked by a small net worth, a moderategearing, and moderate debt protection metrics. These ratingweaknesses are partially offset by ASL's established marketposition with strong relationships with suppliers and customersand the benefits that the company derives from its promoters'experience in the silk trading business.

Outlook: Stable

CRISIL believes that ASL will maintain a stable business profileon the back of strong relationships with suppliers and customers.The outlook may be revised to 'Positive' if ASL's financial riskprofile improves significantly, most likely because of animprovement in cash accruals or fresh, large equity infusion.Conversely, the outlook may be revised to 'Negative' in case ofdeterioration in ASL's financial risk profile because of lowerthan expected profitability or large debt-funded capitalexpenditure.

Update

For 2010-11 (refers to financial year, April 1 to March 31), ASLreported a growth of -35%% in revenues. The company recordedrevenues of about INR165 crores and surpassed CRISIL'sexpectations. The growth in revenues was primarily driven bycontinued demand from the existing customers and company's focuson increasing the revenues even at the cost of compromise inoperating margins. The focus on revenues and traded volume led todecline in margins. During FY2010-11, ASL reported an operatingmargin of 1-1.2% for the year which were lower than CRISIL'sexpectations. The business risk profile of ASL continues to beconstrained by its small scale of operations and low operatingprofitability. ASL's financial risk profile remained weak markedby a small net worth, a moderate gearing, and moderate debtprotection metrics. The liquidity profile of the company remainedmoderate with no long term loans and moderate bank limitutilization of -85% for the past 12 months. The gearing of thecompany is expected to remain moderate in near to medium term.

ASL reported a profit after tax (PAT) of INR4.5 million on netsales of INR1.24 billion for 2009-10, as against a PAT of INR3.3million on net sales of INR0.78 billion for 2008-09.

About Adinath Silk

Incorporated in 2002 by Mr. Atul Kumar Shah, Adinath Silks Ltd(Adinath) is engaged in wholesale trading of grey silk fabrics.The company trades in Silk fabrics such as Silk Chiffons, CrapeChiffons etc. The company procures these fabrics from around 300small-scale weavers located around Bengaluru, and sells thefabrics to over 50 wholesalers and garment manufacturers allacross India. The promoter and his family have been in the sameline of business for over four decades.

AEROBOK SHOE: CRISIL Assigns 'BB' Rating to INR84MM Term Loan-------------------------------------------------------------CRISIL has assigned its 'BB/Stable/P4+' ratings to the bankfacilities of Aerobok Shoe Pvt Ltd.

The ratings reflect expectation of deterioration in the Aerobokgroup's financial risk profile, on account of its large, debt-funded capital expenditure (capex) plan, and low profitability, ascompared to competition. These weaknesses are partially offset bythe group's diversified product range and established marketingnetwork.

For arriving at its ratings, CRISIL has combined the business andfinancial risk profiles of ASPL and Freedom Footwear Pvt Ltd(FFPL), together referred to as the Aerobok group. This is becauseboth companies are in similar line of business, have commonpromoters, and use the same dealers to market and distribute theirproducts. Furthermore, raw material procurement for certain keyraw materials is consolidated at group level. The promoters havealso indicated that the companies will support each other in caseof any exigency.

Outlook: Stable

CRISIL believes that the Aerobok group will benefit over themedium term from its diversified product mix and establishedmarketing network. The outlook may be revised to 'Positive' if thegroup achieves more-than-expected cash accruals, driven byimprovement in its profitability. Conversely, the outlook mayberevised to 'Negative' if the group's working capital requirementsincrease or if the group undertakes a larger-than-expected, debt-funded capex, weakening its financial risk profile.

About the Group

ASPL was set up by Anil Kumar Gupta and his brother, DevinderGupta in 1995. The company manufactures footwear at its plants inBhadurgarh (Haryana). In 2001, the promoters set up FFPL, withits plant also at Bhadurgarh. The management set up FFPL tomanufacture footwear with a maximum retail price of less thanINR250, as it is excise free. As excise laws require thedesignated areas and record of excisable goods and non-excisablegoods to be separate, the management decided to set up a secondcompany. The Aerobok group has the capacity to manufacture around60,000,000 pairs per annum.

The ratings reflect APFIPL's weak liquidity coupled with small networth and moderate debt protection indicators, which restricts itsfinancial risk profile, and its exposure to risks related to thetender-based nature of its business. These weaknesses arepartially offset by the extensive experience of APFPL's promotersin the pipes and fittings industry and its established customerrelationships.

Outlook: Stable

CRISIL believes that APFIPL will maintain its business riskprofile, backed by its promoters' industry experience andestablished customer relationships. The outlook may be revised to'Positive' in case of significant improvement in the company'srevenues and net cash accruals coupled with improvement in itsworking capital cycle. Conversely, the outlook may be revised to'Negative' in case of deterioration in APFPL's gearing or debtprotection metrics.

About Arvind Pipes

APFIPL, incorporated in 1990, was promoted by Mr. Mafatlal Mehta,a Mumbai based first generation entrepreneur. It manufacturesstainless steel pipes, fittings, and tubes of various dimensions,ranging from 0.5-24 inches in diameter. The company currently hasa capacity of 6000 tonnes per annum, spread over two plants inWaghodia (Gujarat). Mr. Mehta and his nephew, Mr. Jinesh Mehtaoversees APFIPL's operations. The company boasts of marqueecustomers such as Bhabha Atomic Research Centre, Nuclear PowerCorporation of India Limited, Larsen and Toubro Limited, etc.APFIPL's estimated revenues are around INR514 million during2010-11 (refers to financial year, April 1 to March 31).

APFIPL reported a profit after tax (PAT) of INR5 million on netsales of INR309 million for 2009-10, as against a PAT of INR4million on net sales of INR556 million for 2008-09.

B D CORPORATES: CRISIL Reaffirms 'B' Rating on INR43MM Term Loan----------------------------------------------------------------CRISIL's rating on the bank facilities of B D Corporates Pvt Ltdcontinues to reflect BD Corporates' below-average financial riskprofile, its vulnerability to raw material price volatility andadverse regulatory changes, and limited pricing power in the flourand rice mill industry. These rating weaknesses are partiallyoffset by the assured offtake of a portion of its rice productionby the Food Corporation of India, thereby ensuring stablerevenues. The rating also factors in the stable demand for riceand wheat in the country, and BD Corporates' established positionin the flour mill industry, good relationships with customers andsuppliers, and diversified revenue profile.

CRISIL believes that BD Corporates' financial risk profile willremain weak over the medium term, on account of its large workingcapital requirements. The outlook may be revised to 'Positive' incase of significant equity infusion into the company, resulting inan increase in net worth, or if there is sustained increase in thecompany's cash accruals, leading to improvement in its financialrisk profile. Conversely, the outlook may be revised to 'Negative'in case of sharp decline in BD Corporates' profitability, or ifthe company undertakes a large, debt-funded capital expenditure(capex) programme, causing deterioration in its financial riskprofile.

Update

BD Corporates' performance in 2010-11 (refers to financial year,April 1 to March 31) has been largely in line with CRISIL'sexpectation. For 2010-11, the company is expected to report aturnover of INR1030 million. However, its operating profitabilitydecreased marginally, over the two years ended 2010-11, on accountof stiff competition. CRISIL believes that BD Corporates' marginswill remain at current levels over the medium term.

BD Corporates financial risk profile is constrained by its largeworking capital requirements. The company needs to maintain highinventory for both rice and wheat, as these are seasonal products.With a low value added business, the company's cash accruals aresmall and it is, therefore, dependent on debt to fund its workingcapital requirements. This has resulted in a weak capitalstructure, as indicated by its small net worth of INR75 millionand high gearing of 3.01 times as on March 31, 2011. The workingcapital intensity of its operations leads to pressure on BDCorporates' liquidity, which is marked by high bank limitutilization and low current ratio. The bank limits of the companyof INR157 million were utilized at an average of around 96% overthe 14 months ended April 2011. However, the cash accruals of thecompany are expected to be adequate to meet its term debtobligations over the medium term.

For 2010-11, BD Corporates is expected to report a profit aftertax (PAT) of INR6.6 million on net sales of INR1030 million,against a PAT of INR5.5 million on net sales of INR828 million for2009-10.

About B D Corporates

Promoted in 2003 by Sankar Agarwala and family, the Kolkata-basedBD Corporates has two divisions: flour mill and rice. The flourmill manufactures atta, maida, suji, and wheat bran. The unit isbased in Hugli district (West Bengal), and has an installedcapacity of 63,000 tonnes per annum (tpa). The unit beganoperations in 2004. The rice division is engaged in milling andproduction of rice. The divisional unit is based in Howrahdistrict (West Bengal), and has an installed capacity of 92,500tpa; it commenced operations in March 2008.

DHARAMPAL PREMCHAND: CRISIL Reaffirms 'BB' Rating on Various Loans------------------------------------------------------------------CRISIL's ratings on the bank facilities of Dharampal Premchand Ltdcontinue to reflect DPL's speculative business of trading inequity and derivative contracts, negative cash accruals from itssteel division because of operational hurdles, and susceptibilityto intense competition and adverse regulatory changes in thetobacco business. These rating weaknesses are partially offset byDPL's established market position in the flavored chewing tobaccosegment, moderate financial risk profile, marked by adequate networth and low gearing, and the financial support it gets from itsgroup company, Dharampal Satyapal Ltd.

CRISIL believes that DPL will continue to face pressures over themedium term because of continued losses in its steel division andits large exposure to equity and derivatives portfolios. Theoutlook may be revised to 'Positive' if DPL curtails itsspeculative activities and starts generating profit in its steeldivision. Conversely, the outlook may be revised to 'Negative' incase of more-than-expected losses, either in the equity andderivatives division or in the steel division, which will lead tofurther deterioration in its debt protection metrics.

About Dharampal Premchand

DPL is part of the Dharampal Premchand group, which was founded bythe late Mr. Dharampal in 1929 as a Delhi-based trader in tobaccoand related products. The company is currently managed by Mr.Ravinder Kumar, grandson of Mr. Dharampal. Over the years, DPLhas expanded its operations by setting up several manufacturingfacilities. In 1995, it set up its engineering division in Noidafor manufacturing fill-and-seal machines. In 1999, it set up atobacco unit in Agartala (Tripura) for manufacturing variousgrades of its flagship tobacco brand, Baba Zarda. In 2000, it setup a silver unit in Noida for making silver foil/cut silver usedin zarda and other products. The company also has a tobaccomanufacturing unit in Damowala (Himachal Pradesh) formanufacturing zarda, supari, qiwam, and elaichi and pan chutney.In 2009, DPL set up a steel rolling mill in Agartala, withcapacity of 160,000 tonnes per annum (tpa) for conversion of hot-rolled steel coils into cold-rolled coils/sheets and 50,000 tpacapacity for galvanised plain/corrugated sheets. Around INR1.85billion of the INR2.4 billion of the total project cost was fundedby excise duty reimbursements earlier available for DPL's andDSL's tobacco operations in North East India.

DPL reported a net profit (after considering income of INR150million through deferred government grant) of INR73.5 million onnet sales of INR1.86 billion for 2009-10, against a net loss ofINR139.4 million on net sales of INR1.29 million for 2008-09.

The ratings reflect expectation of deterioration in the Aerobokgroup's financial risk profile, on account of its large, debt-funded capital expenditure (capex) plan, and low profitability, ascompared to competition. These weaknesses are partially offset bythe group's diversified product range and established marketingnetwork.

For arriving at its ratings, CRISIL has combined the business andfinancial risk profiles of Aerobok Shoes Pvt Ltd (ASPL) and FFPL,together referred to as the Aerobok group. This is because bothcompanies are in similar line of business, have common promoters,and use the same dealers to market and distribute their products.Furthermore, raw material procurement for certain key rawmaterials is consolidated at group level. The promoters have alsoindicated that the companies will support each other in case ofany exigency.

Outlook: Stable

CRISIL believes that the Aerobok group will benefit over themedium term from its diversified product mix and establishedmarketing network. The outlook may be revised to 'Positive' if thegroup achieves more-than-expected cash accruals, driven byimprovement in its profitability. Conversely, the outlook mayberevised to 'Negative' if the group's working capital requirementsincrease or if the group undertakes a larger-than-expected, debt-funded capex, weakening its financial risk profile.

About the Group

ASPL was set up by Anil Kumar Gupta and his brother, DevinderGupta in 1995. The company manufactures footwear at its plants inBhadurgarh (Haryana). In 2001, the promoters set up FFPL, withits plant also at Bhadurgarh. The management set up FFPL tomanufacture footwear with a maximum retail price of less thanINR250, as it is excise free. As excise laws require thedesignated areas and record of excisable goods and non-excisablegoods to be separate, the management decided to set up a secondcompany. The Aerobok group has the capacity to manufacture around60,000,000 pairs per annum.

CRISIL believes that FCIL will continue to benefit from itsexisting relationships with its customers and its promoter'sexperience in the coal business. The outlook may be revised to'Positive' if the company increases its scale of operations withthe commencement of coal import business, while maintaining itsefficient working capital management. Conversely, the outlook maybe revised to 'Negative' in case of deterioration in the company'sworking capital cycle, or in case of a large, debt-funded capitalexpenditure.

About Fuelco Coal

FCIL was incorporated in 2004, promoted by Mr. Naval KishoreAgarwal. The company procures coal through e-auctions conductedby Coal India Ltd. Its customers, besides other coal traders, arefrom industries such as paper, textile, chemical, and cement. Thecompany also undertakes liaison and transportation services forcompanies with coal linkages. FCIL has plans to start importingcoal from Indonesia in 2011-12 (refers to financial year, April 1to March 31).

The ratings reflect HPIL's delays in servicing its term loan IIwhich became due in April 2011. There has been a delay in theexecution of its expansion project and the funds have not beenfully drawn. The company has requested its bankers to extend thematurity schedule of the term loan II, which if approved will easeliquidity pressure and may lead to positive rating action.

HPIL's capacity utilization was low at 13% in the financial yearended March 2011 due to a technical problem in the manufacturingplant, which has since been resolved; Fitch expects capacityutilization to improve in FY12. There have been time overruns inthe setting up of a 100TPD kiln for manufacturing sponge ironadjacent to the company's existing 100TPD kiln. The total outlayfor this project is INR148.1 million, to be funded by INR70million debt and INR78.1 million equity.

Incorporated in January 2010, HPIL is jointly promoted by theSarawagi and Agarwal group, who have extensive experience in thedomestic iron and steel industry.

-- INR15 million fund-based working capital limits: 'B- (ind)'/'F4(ind)'; and

-- INR305 million non-fund based working capital limits: 'F4(ind)'.

The ratings reflect MHRL's recent delays in servicing its termloan for its windmill project due to the delays in the receipt ofpayments from Tamil Nadu Electricity Board for power supplied,which has strained its liquidity position. The ratings alsoreflect the company's high financial leverage and the seven toeight months delays in the completion of the company's newINR1,180 million five-star hotel project in Gachibowli, Hyderabad.It is expected to be operational by June 2011. Fitch notes that aportion of the equity contribution envisaged for the project isyet to be brought in.

However over the past three years, MHRL has consistently generatedEBITDA margins of over 45% from its operating assets (FY11: 45.3%,FY10: 49.82%, FY09: 46.76% and FY08: 47.05%).

Positive rating guidelines include a sustained decrease in MHRL'stotal adjusted net debt to EBITDA to below 5.2x. Negative ratingguidelines include delays in servicing its debt obligations or aninterest cover of below 1.2x. Additional equity not being broughtin could also lead to a ratings downgrade.

Incorporated in 1995, MHRL owns two three-star hotels inHyderabad: 'Aditya park-inn' and 'Aditya Hometel'. Manjeera Hotelshas a 1.5MW windmill in Nagercoil district, Tamil Nadu. Fitchestimates the company to generate an operating income of INR171.8million (FY10: INR137.9 million) and operating EBITDA of INR77.76million (FY10: INR68.7 million) in FY11. At FYE11, its total debtoutstanding is estimated to be INR983.1 million (FY10: INR525.8million), leverage 12.64x (FY10: 7.65x) and interest cover 2.25x(FY10: 1.68x).

The rating reflects MPPL's exposure to project implementationrisks, geographic concentration in its revenue profile, and itssusceptibility to economic cycles. These rating weaknesses arepartially offset by the extensive experience of MPPL's promotersin the construction sector and the strategic location of itsproposed commercial mall in Mysore (Karnataka).

Outlook: Stable

CRISIL believes that MPPL will maintain a stable credit riskprofile over the medium term on the back of support from theholding company, Maverick Holdings and Investments Pvt Limited(MHIPL; rated 'BB+/Stable' by CRISIL). The outlook may be revisedto 'Positive' if MPPL generates larger-than-expected cash flows onaccount of earlier-than-scheduled completion of its ongoingproject or generates more-than-expected lease rental income,thereby improving its financial risk profile. Conversely, theoutlook may be revised to 'Negative' if MPPL faces significanttime overruns in commencement of operations of Phase-I or in caseof less-than-expected lease rentals, leading to weaker financialrisk profile.

About Maverick Properties

Set up in 2005 as a 51:49 joint venture between MHIPL and KshitijVenture Capital Fund (KVCF), MPPL is constructing a commercialmall at Mysore. The total area of the mall is around 300,000square feet. Phase I of the mall with a total space of around160,000 square feet is expected to be operational by August 2011.The total outlay for Phase I is expected to be INR460 million,which has been funded by an equity infusion of INR230 million fromKVCF, term loan of INR210 million and residual through fundinfusion from MHIPL. As on date, the company has signed leaseagreements for nearly 70% of its Phase I space with clients suchas PVR Ltd (rated A+/Stable by CRISIL) and Pantaloons Retail(India) Ltd. The construction of Phase II is expected to commencein October 2011 at a total outlay of about INR440 million; thefunding for the same has not yet been finalised. The constructionof Phase II is expected to be complete 16 to 18 months from thecommencement of construction.

PUNJAB COOPERATIVES: INR102 Billion Assets Under Threat-------------------------------------------------------The Express Tribune reports that the Punjab Cooperatives Board forLiquidation (PCBL) has been without a permanent chairman sinceFebruary, leaving the embattled institution increasingly weak asit fends off land grabbers, and unscrupulous officials, interestedin its assets of over a hundred billion rupees.

According to the report, a group in the Cooperatives Department issaid to be lobbying for the board to be merged with thedepartment, which would give these officials a much greaterinfluence in how the PCBL's assets are sold off, said officials inthe Civil Secretariat, warning that this could lead to greatercorruption.

The Express Tribune relates that the board is currently led by anacting chairman. Since the last chairman, Nazar Chohan, resignedin February, the PCBL has not convened a single meeting to discusscases in the courts, claims on properties or the issuance of noobjection certificates (NOCs), the report says.

The Express Tribune notes that land grabbers have meanwhile beentrying to take over the board's property. Recently, a groupgrabbed agriculture land worth INR11 billion in a Lahore suburb.

The PCBL website has been closed for two months, indicating thatthose who work at the board are under no pressure to perform inthe absence of a chairman.

The PCBL was formed in 1992 under an ordinance which was convertedto an act one year later. Its job was to liquidate 102 cooperativesocieties which had been deemed defunct or 'undesirable' after aninquiry commission found them to be involved in massiveirregularities and illegal banking operations. At that point theboard had to deal with 266,000 claims amounting to about INR13billion.

CRISIL believes that SSC's business risk profile will continue tobe constrained by its small scale of operations, driven by smallorder book and moderate revenues, over the medium term. SSC'sliquidity will also remain weak because of its incremental workingcapital requirements and high bank limit utilisation. The outlookmay be revised to 'Positive' in case SSC bags a large order, thereis larger-than-expected fresh equity infusion by the partners inthe firm, or there is an enhancement in its working capitallimits. Conversely, the outlook may be revised to 'Negative' ifSSC's liquidity weakens further, most likely because of largeincremental working capital requirements or pressure on cashaccruals.

About S & S Construction

SSC was established in 1984 by Mr. Laxman Singh and his friend Mr.Bhagwant Rai. The firm is predominantly engaged in civilconstruction and infrastructure development work, mainly roadsconstruction. Both Mr. Laxman Singh and Mr. Bhagwant Rai arefirst-generation entrepreneurs; they commenced constructionbusiness in 1985 by undertaking Punjab State Government'scontracts for construction of roads. Currently, second-generationentrepreneurs have also joined SSC as partner-promoters. Around90% of the firm's revenues come from construction of roads; therest comes from its recently started business of building schoolsand colleges for state government departments. SSC is registeredwith the Government of Punjab and operates mainly in Punjab andUttarakhand, for the respective state governments.

SHAH PULP: CRISIL Reaffirms 'BB+' Rating on INR13.5MM Term Loan---------------------------------------------------------------CRISIL's ratings on the various bank facilities of Shah Pulp &Paper Mills Ltd continue to reflect SPPML's small scale ofoperations, large working capital requirements, and highlyutilized bank lines. These weaknesses are partially offset by thecompany's established market position in the newsprint industry,and its moderate financial risk profile, marked by low gearing andmoderate debt protection metrics.

CRISIL believes that SPPML will maintain its market position overthe medium term, backed by its established clientele, track recordin the newsprint industry, and stable operating margin. Theoutlook may be revised to 'Positive' if SPPML increases the scaleof its operations and increases its cash accruals, whilemaintaining its operating margin. Conversely, the outlook may berevised to 'Negative' if SPPML's financial risk profiledeteriorates on account of a larger-than-expected, debt-fundedcapital expenditure (capex) programme or if its operating margindeclines significantly, on account of volatility in waste andnewsprint paper prices.

Update

SPPML's revenues declined by around 10%, to INR809 million in2009-10 (refers to financial year, April 1 to March 31), primarilyon account of the fall in prices of newsprint paper. For 2010-11,SPPML booked sales of around INR916 million. Although demandremained steady from existing customers, the overall sales werehigher, with revival in newsprint prices in 2010-11, to INR32,000per tonne in April 2011 from around INR24,000 per tonne in April2010. The company has an installed capacity of 36,000 tonnes perannum (tpa) and is operating at 98% capacity utilisation levels.CRISIL believes the overall scale of operations of SPPLM will berestricted to around INR 1.2 billion as the company does not haveany expansion plans over the medium term.

SPPML maintained its operating margin at around 9% over the twoyears ended 2010-11; its operating margin is expected to be in asimilar range over the medium term. Its operations remain workingcapital intensive. The company continues to procure raw materialbacked by letter of credit of 90-120 days, resulting in highercredit period available, thereby partially supporting its workingcapital requirements. SPPML's gearing remained at less than 1 timeas on March 31, 2011. CRISIL believes that SPPML's gearing willremain below 1 time as it has no capex plans over the medium term,

For 2009-10, SPPML reported a profit after tax (PAT) of INR13.8million on net revenues of INR809.1 million, against a PAT ofINR17.1 million on net sales of INR899.2 million for 2008-09.

About Shah Pulp

SPPML was incorporated in 1996 with an initial capacity tomanufacture 16,500 tpa of Grade B newsprint. Over the years, theVapi-based company has expanded its capacity to 36,000 tpa. Itsassociate company, Shah Paper Mill Ltd (SPML), incorporated in1990, manufactures higher-quality Grade A newsprint, kraft paper,and writing and printing paper. SPML has three waste-paper-basedmanufacturing units, with an aggregate capacity of 117,000 tpa, inVapi (Gujarat).

The ratings reflect SRI's weak financial risk profile, marked by ahigh gearing and weak debt protection metrics, large workingcapital requirements, and customer concentrated revenue profile.These rating weaknesses are partially offset by the benefits thatSRI derives from its healthy order book and its promoter'sextensive experience in the construction industry.

Outlook: Stable

CRISIL believes that SRI will benefit over the medium term fromits experienced management and its established relationship withRamky Infrastructure Ltd (Ramky, rated 'A/Stable/P1' by CRISIL).The outlook may be revised to 'Positive' if SRI increases itsscale of operations and profitability or in case of improvement inthe capital structure, on account of capital infusion. Conversely,the outlook may be revised to 'Negative' if SRI's margins orrevenues decline, if the firm undertakes a large, debt-fundedcapital expenditure programme, in case of delays in projectsexecution or receipt of bills from various principal clients, orin case of deterioration in the firm's financial risk profile.

Set up in August 2008 by Mr. G. Badrinath, Mr. V V S N Murthy, andtheir families, SRI undertakes civil works related to drainagesystems, water supply systems, roads, and buildings for Ramky.

SRI reported a profit after tax (PAT) of INR7.3 million on netsales of INR178 million for 2009-10 (refers to financial year,April 1 to March 31).

The ratings upgrade reflects the improvement in STSE's businessrisk profile, driven by more-than-expected growth in revenues andimprovement in capital structure and liquidity. The firm'srevenues registered a growth of 36.5%, increasing to INR2.28billion in 2010-11 (refers to financial year, July 1 to June 30)from INR1.67 billion in 2009-10, due to addition of customers andbuoyant demand for steel. In 2010-11, STSE opened three branchoffices, two in Hyderabad and one in Orissa, which helped the firmadd customers. To fund the increasing scale of its operations,STSE increased its share capital to INR113.1 million in 2010-11from INR69.6 million in 2009-10, resulting in improvement in thecapital structure, which stood at 1.1 times as on March 31, 2011,as compared to 1.9 times as on March 31, 2010. However, a portionof this capital was invested in fixed deposits, which increased toINR53.5 million in 2010-11 from INR21.9 million in 2009-10. Thefixed deposits are unencumbered in nature, supporting the firm'sliquidity. The firm's bank limits of INR140 million were highlyutilised, at an average of 89% over the 12 months through March2011.

The rating continues to reflect STSE's below-average financialrisk profile, marked by small net worth but moderate capitalstructure, susceptibility to volatility in steel prices, andexposure to intense competition in the steel trading business.These rating weaknesses are partially offset by STSE's establishedbusiness relationships with suppliers and customers, and itspromoters' experience in the steel trading business.

Outlook: Stable

CRISIL believes that STSE will continue to benefit from itsestablished track record in the steel trading business, over themedium term. The outlook may be revised to 'Positive' if its scaleof operations and profitability increases considerably on asustained basis. Conversely, the outlook may be revised to'Negative' if STSE contracts sizeable debt to fund its capitalexpenditure, its sales decrease significantly, or if the partnerswithdraw substantial capital from the firm's account, therebyweakening its capital structure.

After declining sharply in 2009-10 (refers to financial year,April 1 to March 31), due to cancellation of orders from theMiddle East, Suntana's sales grew by 67%, to INR320 million fromINR190 million in 2009-10 (refers to financial year, April 1 toMarch 31). The increase in sales, in part, reflects normalizationof the company's sales after the decline in 2009-10. The companywill look to increase its presence in shirting fabrics anduniforms over the medium term. Additionally, it is increasing itspresence in export markets to geographically diversify its revenueprofile. Suntana remained exposed to price volatility and haswitnessed pressure on its margins because of its longmanufacturing cycle. The company has faced difficulties in passingon increases in raw material prices to customers.

Suntana has a long working capital cycle; it offers credit of 120days to its customers and also has a long inventory holdingperiod. The company is looking to reduce the credit period offeredto customers and also reduce its inventory holding period; it willpurchase grey fabric instead of partly processing yarn, reducingits operating cycle by up to 60 days. Average inventory days inthe past have been very high, with raw materials being stocked formore than three months. Furthermore, despite order-backedmanufacturing, the company has historically had a high stock offinished goods as it faces operational lags at ports. Totalinventory holding stood at 130 days as on March 31, 2011, ascompared to 180 days in 2009-10. As on March 31, 2011, receivableswere estimated at 95 days, as compared to 110 days for 2009-10.

Gearing is high, estimated at 5.13 times as on March 31, 2011, ascompared to 4.6 times as on March 31, 2010. The ratio of totaloutside liabilities to total net worth is estimated at 7.16 times,as compared with 7.4 times in 2009-10. The company does not haveany capital expenditure plans over the medium term.

Suntana has weak liquidity, with small cash accruals of INR2.3million in 2010-11, fully utilised bank lines, a long workingcapital cycle, and small net worth, estimated at INR21 million ason March 31, 2011.

About Suntana

Suntana, promoted by Mr. Chiranjilal Agarwal, was incorporated in2006. The company manufactures suiting and shirting fabrics, anddress material from polyester yarn. The company sells its productsmainly to the export markets, especially Egypt, Dubai, Iraq, Iranand Saudi Arabia and South East Asia.

Suntana reported a profit after tax (PAT) of INR1.1 million on netsales of INR191 million for 2009-10, against a PAT of INR1.1million on net sales of INR245 million for 2008-09.

The ratings reflect SSSPL's modest scale of operations andsusceptibility to risks related to the tender-based nature of itsbusiness. These rating weaknesses are partially offset by theextensive industry experience of SSSPL's promoters and establishedrelations with suppliers and customers.

Outlook: Stable

CRISIL believes that SSSPL will continue to benefit from itsestablished presence in the defence equipment industry, over themedium term. The outlook may be revised to 'Positive' in case ofsignificant improvement in SSSPL's revenues, profitability, anddebt protection metrics. Conversely, the outlook may be revised to'Negative' in case of a slowdown in SSSPL's growth or significantdeterioration in its profitability or debt protection metrics.

About Sure Safety

SSSPL set up in 2004 is engaged in trading of products andsolutions for security and surveillance systems, such as radar andRadio controlled improvised explosive devices (RCIED) jammers, anddefence simulators required by various defence departments. Thecompany is promoted & managed by the Bhalotia family of Kolkata,which has been in earthmovers business for past 35 years. SSSPLhas its registered office in Mumbai (Maharashtra), and branchoffices in Delhi and Kolkata (West Bengal). Mr. Arun Bhalotia isthe managing director of the company.

SSSPL reported a profit after tax (PAT) of INR0.1 million on netsales of INR112.9 million for 2009-10 (refers to financial year,April 1 to March 31), as against a PAT of INR3.3 million on netsales of INR72.3 million for 2008-09.

TIRUPATI UDYOG: CRISIL Assigns 'D' Rating to INR35.5MM LT Loan--------------------------------------------------------------CRISIL has assigned its 'D/P5' ratings to the bank facilities ofTirupati Udyog Ltd. The ratings reflect delay by the company inservicing its term loan; the delay has been caused by TUL's weakliquidity.

TUL has a weak financial risk profile, marked by small net worthand weak debt protection metrics. Its profitability is susceptibleto volatility in raw material prices and it is exposed to intensecompetition in the steel industry. TUL, however, benefits from itsestablished market position and the extensive experience of itspromoters in the steel industry.

About Tirupati Udyog

TUL, based in Hyderabad, manufactures thermo-mechanically-treated(TMT) bars, angles, girders, and channels with an installedcapacity of 200 tonnes per day. TUL sells TMT bars under theTirupati TMT brand. It was earlier known as Caps Steel Ltd; thecompany was renamed in 2001, when the business was taken over byMr. Yogendar Garg, Mr. Dinesh Goyal, Mr. Vipin Jain and Mr. PulkitGarg.

TUL is expected to report net sales of Rs 569 million in 2010-11(refers to financial year, April 1 to March 31). TUL reported aprofit after tax (PAT) of INR7 million on net sales of INR1.29billion for 2009-10, as against a PAT of INR36 million on netsales of INR1.73 billion for 2008-09.

VAISHNODEVI REFOILS: CRISIL Assigns 'C' Rating to INR33MM LT Loan-----------------------------------------------------------------CRISIL has assigned its 'C' rating to the long-term bankfacilities of Vaishnodevi Refoils & Solvex. The rating reflectsinstances of delay in the past by VRS in servicing its debt; thedelays have been caused by the firm's weak liquidity.

VRS also has a weak financial risk profile, marked by highgearing, weak debt protection metrics, and small net worth and issusceptible to intense competition in the edible oil and by-products industry. These weaknesses are partially offset by theextensive industry experience of VRS's promoters.

VRS, a partnership firm was set up in 2008 by Shaileshbhai Thakkarand commenced commercial production in April 2009. It undertakesextraction and refining of mustard oil from de-oiled cakes. Thefirm has an extraction capacity of about 300 tonnes per day at itsfacilities in Banaskantha (Gujarat). It also trades mustard seedsand other refined oil, which contributes about 10% to its totalrevenues.

VRS reported a book profit of INR1.0 million on net sales ofINR610.2 million for 2009-10 (refers to financial year, April 1 toMarch 31).

YESHASHVI STEELS: CRISIL Reaffirms 'D' Rating on INR815MM Loan--------------------------------------------------------------CRISIL's rating on the bank facilities of Yeshashvi Steels &Alloys Pvt Ltd continue to reflect instances of delay by Yeshashviin servicing its debt; the delays have been caused by Yeshashvi'sweak liquidity.

Yeshashvi has a weak financial risk profile, marked by a small networth, a high gearing, and low cash accruals, and is vulnerable tothe cyclicality in the steel industry. The company is, however,expected to benefit from the extensive experience of promoters inthe sponge iron and steel industry.

Update

In 2010-11 (refers to financial year, April 1 to March 31),Yeshashvi reported positive cash accruals of around INR6.2 million(estimated) vis-a-vis negative cash accruals of around INR13.6million in 2009-10 on account of the first kiln being fullyoperational. However, the company's liquidity remains weakbecause of delay in the commissioning of the second kiln, which isexpected to start commercial production in July 2011 (earlierestimate was March 2010). This weak liquidity marked by low cashgeneration vis-a-vis term debt obligations has led to delays inthe servicing of its interest and principal repayments. CRISILbelieves that Yeshashvi's liquidity will remain weak over themedium term until the second kiln becomes fully operational andthe company starts generating adequate cash accruals to serviceits maturing term debt in a timely manner.

Yeshashvi reported a net profit of INR1 million (estimated) on netsales of INR147 million (estimated) in 2010-11, against a net lossof INR13.6 million on net sales of INR106 million for 2009-10.

About Yeshashvi Steels

Yeshashvi, incorporated in 2007 by a team of technocrats,manufactures sponge iron from iron ore. The company has installedtwo kilns in the Bellary region of Karnataka. The first kiln,with an installed capacity of 15,000 tonnes per annum (tpa),became operational in November 2008. The second kiln, also of15,000 tpa capacity, is expected to start commercial production inJuly 2011.

=========J A P A N=========

NCI TRUST: S&P Puts 'B' Rating on Class D Certificates on Watch---------------------------------------------------------------Standard & Poor's Ratings Services placed its ratings on the classB to D trust certificates issued under the NCI Trust Certificate-2transaction on CreditWatch with negative implications, and hasaffirmed its 'AAA (sf)' rating on the class A trust certificatesissued under the same transaction. "We had lowered the rating onthe class D trust certificates to 'B (sf)' from 'BB (sf)' on Dec.2, 2010," S&P stated.

This transaction was originally backed by seven loans and onespecified bond. Only one loan and one specified bond areoutstanding. Regarding the loan, which accounts for 14.6% of therated initial total issue amount, the cash flow from thecollateral property, which is an office and hotel complex locatedin Osaka Prefecture, is under downward pressure. As such, wehave placed the ratings on classes B to D on CreditWatch withnegative implications. We will review the ratings on classes B toD after examining recovery prospects from the collateralproperty," S&P said.

The trust certificates were initially secured by seven loansoriginated by Nomura Capital Investment Co. Ltd. and extended toseven borrowers, and by one specified bond underwritten by NomuraSecurities Co. Ltd.

The ratings address the full and timely payment of interest andthe ultimate repayment of principal by the transaction's legalfinal maturity date in September 2013 for the class Acertificates, and the full payment of interest and ultimaterepayment of principal by the legal maturity date for the class Bto D certificates.

ORIX-NRL Trust 14, effected in May 2007, represents thesecuritization of eight non-recourse loans and two specifiedbonds.

The Originator entrusted the loans to the asset trustee and, inreturn, received the Class A through H and X Trust Certificates,which it then sold through the Arranger and the Certificate SalesIntermediary to investors. The trust certificates are rated byMoody's.

In this transaction, interest and principal payments will be madeon a sequential basis. The losses will be allocated in reversesequential order, starting with the most subordinate class of thetrust certificates.

Six of the non-recourse loans have been paid down or recovered.

The transaction is currently secured by two non-recourse loans andtwo specified bonds.

One non-recourse loan and one specified bond have been underspecial servicing. They are backed by two office buildings locatedin provincial cities and one office building located in Tokyorespectively.

The remaining one non-recourse loan and one specified bond (sameborrower) are backed by a retail property located in a provincialcity.

Rating Rationale

The current rating action reflects these factors:

1) The rating downgrade reflects the result of the losses incurred through property dispositions on the specially serviced loan, which is backed by multiple residential properties.

The principal methodology used in this rating was "Updated:Moody's Approach to Rating CMBS Transactions in Japan" (June 2010)published on September 30, 2010, and available onwww.moodys.co.jp.

Moody's did not receive or take into account any third party duediligence reports on the underlying assets or financialinstruments related to the monitoring of this transaction in thepast six months.

Orso Funding CMBS 8 Limited, effected in November 2007, representsthe securitization of a bond and a loan backed by real estate.Orso Funding CMBS 8 Limited receives the interest/principalpayments of the Bond and Loan, and subsequently uses the cash topay the interest/principal of the rated Notes. The underlyingassets were initially 184 properties leased to a single tenant.

Moody's believe that the cash flow from the backing propertieswill be stable. Accordingly, interest/principal payments for therated Notes will be executed stably.

However, the current review was prompted by Moody's concerns aboutthe level of recovery from the backing properties, and hence theneed to reconsider its recovery assumptions.

In its review, Moody's will re-assess -- and further stress -- itsrecovery assumptions for the properties. The review will includetheir operating status.

TOKYO ELECTRIC: Banks Book JPY400-Bil. Losses in Tepco Shares-------------------------------------------------------------Kyodo News reports that major financial institutions booked JPY400billion in losses on their Tokyo Electric Power Co. shareholdingsat the March 31 end of fiscal 2010 as the utility's shares plungedamid the Fukushima nuclear crisis, industry sources said.

Kyodo says Tepco shares fell to JPY466 per share on March 31,2011, from more than JPY2,000 before the March 11 earthquake andtsunami seriously damaged the nuclear plant and led to radiationleaks.

Life insurance firms and major banking groups have held a massiveamount of Tepco shares as stable assets but are now expected toreduce the level, Kyodo notes.

According to the report, losses booked on Tepco shareholdings areestimated at JPY100 billion each for the top shareholder, No. 1Life Insurance Co., and Nippon Life Insurance Co., JPY10 billionfor Sumitomo Life Insurance Co., JPY5 billion for Mitsui LifeInsurance Co., JPY4 billion for Fukoku Mutual Life Insurance Co.and several billion yen for Meiji Yasuda Life Insurance Co.

Losses on Tepco shareholdings are put at JPY80 billion forSumitomo Mitsui Financial Group Inc., JPY50 billion for MizuhoFinancial Group Inc. and JPY30 billion for Mitsubishi UFJFinancial Group Inc. Firms usually log shareholding losses whenmarket share prices fall more than 50 percent from acquisitionlevels.

About TEPCO

Tokyo Electric Power Company (TEPCO) is the largest electricpower company in Japan and the largest privately owned electricutility in the world. TEPCO supplies electricity to meet theincreasingly diversified and sophisticated demands of its over28.09 million customers in the metropolitan Tokyo, which is thepolitical, economic, and cultural center of Japan, and eightsurrounding prefectures.

Bloomberg News said the utility known as Tepco is battlingradiation leaks at the Fukushima Dai-Ichi power plant north ofTokyo after a March 11 earthquake and tsunami knocked out itscooling systems, causing the biggest atomic accident in 25 years.More than 50,000 households were forced to evacuate and Bank ofAmerica Corp.'s Merrill Lynch estimates Tepco may facecompensation claims of as much as JPY11 trillion ($135 billion).

The company has JPY5 trillion in debt, making it the fourth-biggest borrower among members of the Nikkei 225 stock average,according to data compiled by Bloomberg.

The Troubled Company Reporter-Asia Pacific, citing Dow JonesNewswires, reported on May 17, 2011, that Japan's governmentunveiled a comprehensive plan to protect Tepco from bankruptcy andfund compensation claims stemming from the country's worst-evernuclear energy disaster that are expected to total more thanJPY2.5 trillion.

Dow Jones said the rollout of the plan, along with comments fromgovernment officials, raised fresh concerns, however, aboutTepco's future and whether shareholders and bondholders will beexpected to share in the pain.

TOKYO ELECTRIC: Won't Sell Land Holdings in Oze National Park-------------------------------------------------------------Kyodo News reports that Tokyo Electric Power Co has said it willnot sell land it owns in the Oze National Park in response to sucha request by the Gunma prefectural government, Gunma Gov MasaakiOsawa said Friday.

Kyodo relates that the governor told a prefectural assemblysession that TEPCO said it has no plan at this time to sell theland in Oze as it serves as an important asset for its business.

According to the report, the governor said the utility wouldconserve the land for the sake of trekkers in the national park.

Kyodo states that TEPCO is considering selling off non-essentialassets as compensation liabilities stemming from the nuclearcrisis at the Fukushima Daiichi plant, triggered by the March 11earthquake and tsunami, continue to mount.

The company owns around 40% of the national park's land areatotaling about 37,200 hectares straddling Gunma, Fukushima,Tochigi and Niigata prefectures, Kyodo discloses.

About TEPCO

Tokyo Electric Power Company (TEPCO) is the largest electricpower company in Japan and the largest privately owned electricutility in the world. TEPCO supplies electricity to meet theincreasingly diversified and sophisticated demands of its over28.09 million customers in the metropolitan Tokyo, which is thepolitical, economic, and cultural center of Japan, and eightsurrounding prefectures.

Bloomberg News said the utility known as Tepco is battlingradiation leaks at the Fukushima Dai-Ichi power plant north ofTokyo after a March 11 earthquake and tsunami knocked out itscooling systems, causing the biggest atomic accident in 25 years.More than 50,000 households were forced to evacuate and Bank ofAmerica Corp.'s Merrill Lynch estimates Tepco may facecompensation claims of as much as JPY11 trillion ($135 billion).

The company has JPY5 trillion in debt, making it the fourth-biggest borrower among members of the Nikkei 225 stock average,according to data compiled by Bloomberg.

The Troubled Company Reporter-Asia Pacific, citing Dow JonesNewswires, reported on May 17, 2011, that Japan's governmentunveiled a comprehensive plan to protect Tepco from bankruptcy andfund compensation claims stemming from the country's worst-evernuclear energy disaster that are expected to total more thanJPY2.5 trillion.

Dow Jones said the rollout of the plan, along with comments fromgovernment officials, raised fresh concerns, however, aboutTepco's future and whether shareholders and bondholders will beexpected to share in the pain.

=========K O R E A=========

BUSAN SAVINGS: Former State Auditor Arrested on Bribe Charges-------------------------------------------------------------Yonhap News reports that Eun Jin-soo, a former state auditor andaide to South Korea's President Lee Myung-bak, was arrested Mondayon charges of taking bribes from Busan Savings Bank that wasseeking his influence to avoid punishment for extending illegalloans and other irregularities.

According to the news agency, Mr. Eun, who resigned last week as aranking member of the Board of Audit and Inspection (BAI), isaccused of accepting KRW70 million (US$64,635) in cash and adiamond jewel worth about KRW30 million from the bank. Hisbrother is also suspected of taking KRW100 million from the bank,the report says.

Yonhap relates that Mr. Eun, a former prosecutor who worked forLee's presidential election camp in 2007, reportedly denied mostof the charges against him during 14 hours of questioning fromSunday, saying he received part of the money as a legitimatereward for offering legal consulting.

Appearing at the Supreme Public Prosecutors' Office on Sunday,says Yonhap, Mr. Eun apologized in public for "causing concern"and vowed to cooperate with the investigation.

"I believe the truth will come to light through objectiveevidence," Yonahp quotes Mr. Eun as saying.

Yonhap notes that the prosecutors said they are expanding theprobe to see if the bank bribed other high-ranking governmentofficials and political heavyweights to prevent itself from beingousted from the market.

As reported in the Troubled Company Reporter-Asia Pacific onFeb. 24, 2011, The Financial Services Commission suspended threeaffiliates of Busan Savings Bank -- Jungang Busan Savings Bank,Busan II Savings Bank and Jeonju Savings Bank -- as well as BohaeBank for six months each. The China Post said the move came justdays after two other institutions, Busan Savings Bank and itsaffiliate Daejeon Mutual Savings Bank, had their activitiessuspended.

Yonhap reports that Busan Savings Bank was found to have engagedin extending illegal loans to large shareholders and otherfinancial irregularities involving billions of dollars in total.The bank, according to Yonhap, has also been accused of tippingoff its employees' relatives and VIP customers about its impendingsuspension in February so as to help them withdraw their depositsin advance.

Busan Savings Bank is a savings bank based in Busan, Korea. Thebank offers a range of financial products and services.

====================N E W Z E A L A N D====================

REDGROUP RETAIL: Whitcoulls Union Angry Over New Contracts----------------------------------------------------------BusinessDay.co.nz reports that the National Distribution Unionsaid it is outraged at proposed contract changes for staff atWhitcoulls and Borders, which were sold last week byadministrators.

According to BusinessDay.co.nz, the contracts, given to staff onFriday to review over the weekend, scrap any previous redundancypayments and force workers to sign away any claims or grievancesfrom their previous employer.

Employees were given until the end of Monday to sign up to the newagreements. The union is calling for the contracts to bewithdrawn and is seeking legal advice, the report says.

BusinessDay.co.nz relates that NDU general secretary Robert Reidsaid last week's "cautious optimism" about the deal has turned tooutrage.

"Never in my 30 years of working as a trade unionist have I everseen such a blatant ruse to force workers to sign out of theirrights and entitlements in a business transfer situation,"BusinessDay.co.nz quotes Mr. Reid as saying.

"Whitcoulls workers are being asked to sign away any entitlementto redundancy compensation, notice of termination of employmentand any claims or grievances from their previous employer. If theadministrator made workers redundant today, it would have to makea lieu-of-notice payment and redundancy payment, up to a cap of$18,600 per person."

Mr. Reid said under this agreement, the new owner James PascoeGroup could hire a worker for one week and make them redundant thefollowing week with no redundancy compensation, according toBusinessDay.co.nz.

"Even at a conservative estimate, the 900 Whitcoulls workers inthe sales process could have lieu payments and redundancyentitlements of $5000 each," Mr. Reid said. "This means thatWhitcoulls' workers are being forced to contribute almost half amillion dollars of entitlements to the sale . . . it could well bedouble that."

But new owner David Norman told BusinessDay he promised allworkers would be better off under the new ownership.He also took exception to the NDU's attempt to sour the deal.

"The offer of employment is on terms consistent with the majorityof those employed by the James Pascoe Group, there is a littlegive and take required but in my opinion all staff members will bebetter off plus when certainty of employment and staff purchasebenefits are added, the team at Whitcoulls will be considerablybetter off," Mr. Norman told BusinessDay.

As reported in the Troubled Company Reporter-Asia Pacific onMay 27, 2011, REDgroup Retail's administrators agreed to a sale ofthe Whitcoulls and Borders New Zealand businesses to Project MarkLimited, a company in the James Pascoe Group. The James PascoeGroup operates the brands Pascoes, Farmers, Stewart Dawsons,Goldmark, Stevens, Prouds and Angus & Coote. The sale priceremains confidential.

The James Pascoe Group is a privately owned New Zealand retailbusiness that employs more than 9,000 employees in New Zealand andAustralia.

About REDgroup Retail

REDgroup Retail Pty, with 260 stores and brands including Angus &Robertson and Whitcoulls, is the largest book retailer inAustralia and New Zealand. It acquired Borders stores inAustralia, New Zealand, and Singapore in 2008.

* * *

REDgroup Retail Pty Ltd. on Feb. 17, 2011, named Steve Sherman,John Melluish and John Lindholm of Ferrier Hodgson as voluntaryadministrators. The board appointed Steve Sherman, John Melluishand Ryan Eagle as voluntary administrators of the group'sNew Zealand business on the same day. According to BloombergNews, the appointment comes less than a day after Borders GroupInc. filed for bankruptcy in the U.S. and began taking bids for200 stores.

The Tribune relates that the PMOs were sent through registeredmail to the depositors' latest addresses in the bank records.PDIC said that total payments for these depositors have reachedPHP86.2 million, the report says.

According to the report, PDIC officer-in-charge executive vicepresident Imelda Singzon said PDIC continues to mail payments assoon as these are validated during the examination of accounts.For accounts with balances of up to PHP10,000 with completeaddresses and without outstanding loans, validation and mailing ofchecks for validated accounts is ongoing, the report says.

For accounts with balances of above PHP10,000, the Tribune notes,PDIC received almost 70,000 claims during the claims receivingoperations (CRO) from April 28 to May 13, 2011. It shall continueto receive deposit insurance claims from depositors of BF at thePDIC Office in Ayala Avenue, Makati City.

The Bangko Sentral ng Pilipinas closed Banco Filipino after itsliabilities overwhelmed its assets by PHP8.4 billion, and thenfiled charges against its directors and officials. It also placedBanco Filipino under the receivership of the state-run PhilippineDeposit Insurance Corp. to provide immediate relief to the bank's177,652 depositors.

About Banco Filipino

Banco Filipino Savings & Mortgage Bank --http://www.bancofilipino.com/-- was organized in 1964, offers full domestic banking services, which are five main types,namely: cash services; commercial services; loans; money marketservices; and trust services. It started operations on July 9,1964.

=================S I N G A P O R E=================

CLOUGH INVESTMENT: Creditors' Proofs of Debt Due June 27--------------------------------------------------------Creditors of Clough Investment Pte Ltd, which is in creditors'voluntary liquidation, are required to file their proofs of debtby June 27, 2011, to be included in the company's dividenddistribution.

EAST ASIATIC: Creditors' Proofs of Debt Due June 27---------------------------------------------------Creditors of The East Asiatic Company (Singapore) Pte Ltd, whichis in creditors' voluntary liquidation, are required to file theirproofs of debt by June 27, 2011, to be included in the company'sdividend distribution.

KDMS MANAGEMENT: Creditors' Proofs of Debt Due June 10------------------------------------------------------Creditors of KDMS Management Pte Ltd, which is in creditors'voluntary liquidation, are required to file their proofs of debtby June 10, 2011, to be included in the company's dividenddistribution.

STAMFLES REMOTE: Creditors' Proofs of Debt Due June 10------------------------------------------------------Creditors of Stamfles Remote Site Services Pte Ltd, which is increditors' voluntary liquidation, are required to file theirproofs of debt by June 10, 2011, to be included in the company'sdividend distribution.

TELEPOINT DISTRIBUTION: Creditors' Proofs of Debt Due June 10-------------------------------------------------------------Creditors of Telepoint Distribution Pte Ltd, which is increditors' voluntary liquidation, are required to file theirproofs of debt by June 10, 2011, to be included in the company'sdividend distribution.

* VIETNAM: Some Securities Firms on the Brink of Insolvency------------------------------------------------------------Viet Nam News reports that stock brokerages in Vietnam arestruggling to survive during the prolonged stagnation of thecountry's stock markets.

Viet Nam News says unofficial data suggests that 10 out of 105listed securities companies were in danger of insolvency, whichwould trigger a Ministry of Finance regulation that a securitiescompany be placed under control if losses amount to 120-150% ofcapital for three consecutive months.

Meanwhile, Viet Nam News relates, a rumour has been raging sincemid-April that securities companies are awash in as much asVND11.2 trillion (US$533.3 million) worth of bad debt due to thefinancing of stock buy backs when prices were higher.

The head of marketing for International Royal Securities Co,Nguyen Tien Hoang, denies the rumour, however, the report notes.

"Stock markets have been gloomy for a year, and securities firmshave found ways to survive," Viet Nam News quotes Hoang as saying.

According to the report, Mr. Hoang said just a few small-scaledcompanies suffered a financing crisis as they were greedy to offerhigh lending rates but careless to control risk.

Nguyen Son, the head of market development for the StateSecurities Commission, said that the commission would inspectsecurities companies, especially unlisted firms, in an effort toprevent another case such as the one involving Ha Thanh SecuritiesCo.

The former chairman of Ha Thanh Securities absconded and left thecompany with debts of VND100 billion ($4.8 million).

"We will focus on corporate governance in securities companies andforce them to strictly comply with regulations on financialaquadacy ratios," Mr. Son said.

===============X X X X X X X X===============

* BOND PRICING: For the Week May 23 to May 27, 2011---------------------------------------------------

Tuesday's edition of the TCR-AP delivers a list of indicativeprices for bond issues that reportedly trade well below par.Prices are obtained by TCR-AP editors from a variety of outsidesources during the prior week we think are reliable. Thosesources may not, however, be complete or accurate. The TuesdayBond Pricing table is compiled on the Friday prior topublication. Prices reported are not intended to reflect actualtrades. Prices for actual trades are probably different. Ourobjective is to share information, not make markets in publiclytraded securities. Nothing in the TCR-AP constitutes an offeror solicitation to buy or sell any security of any kind. It islikely that some entity affiliated with a TCR-AP editor holdssome position in the issuers' public debt and equity securitiesabout which we report.

A list of Meetings, Conferences and Seminars appears in eachWednesday's edition of the TCR-AP. Submissions about insolvency-related conferences are encouraged. Send announcements toconferences@bankrupt.com

Friday's edition of the TCR-AP features a list of companies withinsolvent balance sheets obtained by our editors based on thelatest balance sheets publicly available a day prior topublication. At first glance, this list may look like thedefinitive compilation of stocks that are ideal to sell short.Don't be fooled. Assets, for example, reported at historicalcost net of depreciation may understate the true value of afirm's assets. A company may establish reserves on its balancesheet for liabilities that may never materialize. The prices atwhich equity securities trade in public market are determined bymore than a balance sheet solvency test.

This material is copyrighted and any commercial use, resale orpublication in any form (including e-mail forwarding,electronic re-mailing and photocopying) is strictly prohibitedwithout prior written permission of the publishers.Information contained herein is obtained from sources believedto be reliable, but is not guaranteed.

TCR-AP subscription rate is US$625 for 6 months delivered via e-mail. Additional e-mail subscriptions for members of the samefirm for the term of the initial subscription or balancethereof are US$25 each. For subscription information, contactChristopher Beard at 240/629-3300.